with computer as far as eligibility of depreciation is
concerned. Therefore, after 01/04/2003, computer software in the nature ... appendix applicable from AY 2006-07, depreciation on computer and
computer software is to be allowed
depreciation for less than 180 days. The AO
had allowed depreciation @20% for the use of computer software
above 180 days ... software @60% depreciation for
the use of software for more than 180 days and @30%
depreciation for the use of software for less
appendix. The depredation appendix specifically includes computer
software as part of computers eligible for depreciation at 60% and the
same ... depreciation rate, such uniform rate of depreciation at 60% is
applicable to all type of 'computer software'.
6.4 We have gone
allowing depreciation at 25% has no basis, in view of 60% depreciation
being allowed on computers and computer software ... Schedule to IT Rules, 1962.
'Computers including computer software" are eligible for depreciation @
60 %. As per Note
heard rival contentions. The assessee has claimed
depreciation on computer and computer software at 60%. The Assessing
Officer allowed depreciation ... assessee is eligible to claim 60% depreciation
on computers including computer software. Therefore, the submission of the
ld. DR that
purchase of computer software or license. In case the assessee has
acquired computer software the depreciation @ 60% has to be computed ... whether
it is purchase of computer software or license to use computer software.
Since, the addition has been set aside
which is the rate of depreciation admissible on
computers and computer software, as claimed by the Appellant
in its Return ... allowing
depreciation on the above @ 60% which is the rate of
depreciation admissible on computers and computer software
submitted that it was submitted before the AO that depreciation
on computer software was allowable at the rate of 60% and the
assessee ... peruse the definitions of computer software and intellectual
property rights, it will be evident that computer software and
intellectual property rights
assessee
observed that the rate of depreciation of computer including
computer software is 60% but the rate of depreciation on intangible ... software is used alongwith computer
notwithstanding that such software may be acquired/purchased
independent of the computer, such hardware or software
deduction. The A.O. further restricted the claim of depreciation @
60% on computer software license to 25%.
5. Assessee carried the matter before ... impossible to use computer without having such software installed
on it and, therefore, such licensed software are subject to depreciation
